SAA announcement coming soon, vows ANC
The African National Congress (ANC) says the decision on the future of South African Airways (SAA) will be announced soon.
This is according to the head of the sub-committee on economic transformation Enoch Godongwana.
The ANC released the outcomes of this weekend’s national executive committee meetings at its Luthuli House headquarters in Johannesburg on Wednesday.
One of the decisions taken by the ANC is that the debt-laden SAA should remain in the state’s hands.
"We need a restructured SAA, but retain its national status. The second decision is that government should look into the operation requirements of that. I know government is working hard to achieve that object and I think in the next few days or weeks an appropriate announcement will be made,” Godongwana said.
#ANCLekgotla Enoch Godongwana on Moodys downgrading the #LandBank. pic.twitter.com/bAv6Rw5V18
— Jacaranda News (@JacaNews) January 22, 2020
SAA is waiting for a R2 billion bailout from government and has cancelled some local and international flights to conserve cash.
Last week at a pre-World Economic Forum media briefing, Finance Minister Tito Mboweni announced that National Treasury was in talks with banks, in an attempt to secure funding for the airline.
#ANCLekgotla Dakota Legoete says the ANC says the ANC has not abandoned its cadre deployment program. pic.twitter.com/DOF4JC4H8C
— Jacaranda News (@JacaNews) January 22, 2020
ALSO READ:
BUDGET PREVIEW: Prepare for higher taxes and possibly a 'super tax'
The Minister of Finance will deliver the Budget Vote after the State of the Nation Address (Sona) by the President, and economist Davie Roodt says South Africans should brace for higher taxes. "It's important for us to understand that the state's finances are in very, very deep trouble - it is totally unsustainable - and that simply means the Minister of Finance has two choices," says Roodt.